Download pdf - Sustainable Architectures

SUSTAINABLE ENTERPRISE

ARCHITECTURES

Crisis>Risk Management>Recovery and Zero Down Time Zero Data Loss

Scale Your Priority Scope

Separating Concerns and Protecting both

your top and bottom line

Copyright @ 2014 WICKED Design Solutions

Lisa Martinez 408.638-9016

Strategy and Vision

• An event driven architecture integrated across the

business and we are not married to any

technologies.

– the majority of the work happens in ERP it doesn’t

matter which ERP system you use and doesn’t require a

new purchase.

– Assume the design aligns each function with the

minimum viable requirements for governance and

discreet or full change concepts.



• Strategic Planning begins in the 1. Design strategy and vision business process

one of five at level 1 in the APQC business process Framework.

• Tactical Planning or Operational strategy execution begins in the 2. Develop

Products and Services business process. Again Level 2 of the APQC framework.

• Allows recovery time and zero down time

Strategic and Tactical Planning Stakeholders by Process (P&L Owner) Resilience



Operating Models (3) Tactical Planning Self Governing

Copyright @ 2014 WICKED Design Solutions Lisa Martinez 408.638-9016

Clouds represent management or identity systems Ovals in one direction represent the strategy during execution where control loops would be.

This model integrates innovation by design The three layers enable grouping by skill. For better security to fewer resources The design is governance by design

Systems Thinking

Management Capabilities

• Systems with rules where

people must remain

constrained to the rules of the

system.

Transaction Capabilities

• A second type of system “social

systems” where people are

making decisions and not

bound to systems. Often the

results are complex.

The baseline we benchmark against requires the Management Capability, our performance

results from the Transaction Capability.

In cybernetics we can associate “Identity and Planning” with the management capability or

rules based system.

In the Director stage we are talking about the coordinator and collaboration which aligns

with the Transaction Capabilities.



Management Capability Types

Workers

Customers

Suppliers

Party

Offer

Financial Accounts

ISO Principles

Systems

Identity System

Corporate Policy

Record Management

Profit and Loss

Planning 1 of 3 Cybernetics

ERP Segments

ISO Country Codes

Location Physical Address

Planning System

Coordinator and

Collaboration

Architecture Design for Sustainable Clouds


Expense or Cost Revenue or Benefits

Cybernetics

Viable System Model

A Cybernetics Viable System Model with master

data sourced from a single source.

Cybernetics PLANNING Copyright @ 2014 WICKED Design Solutions


Synthesis of the Two Systems

Transaction Capability

• The next diagram intends to

show the way a transaction

acquires identity “facts” when

decisions are made.

– Real World addresses for

example

Management Capability

• A management capability

provides the identity “facts” to

the user in a transaction

activity, allowing the rule to be

captured in meeting the

regulatory rules.

– While the transaction

stakeholders and associated

performance are presented as

the users perspective.



Sourcing from the Identity and Planning

Expense Transaction System ERP

• During execution of the operational strategy or

tactical activities we are in the “Director” stage of

the viable system model



Company Code

ISO Country Name

Sub-Account Code (Business Model) General Ledger (profit and Loss)

Department Code (business unit)

Project Code (alternative cost reference)

ISO Country Code

Display Name

Currency Code

Language Code

has States in country

Sub Topic

Single Source on Global Standards


Expense or Cost Revenue or Benefits

ISO Principles Corporate Policy

Management Capabilities

Design Patterns for Integrity and re-use

Reference data or global standards allow us to have accurate information,

sourced from a single table distributed to any and all transaction applications.

Not acquisition of data, lookups or push rather manage

Cybernetics DIRECTOR Copyright @ 2014 WICKED Design Solutions


IDENTITY

DIRECTOR



Alignment of Process to EA

• 63 organizations or agencies spent nearly a year working on a way to bridge Enterprise Architecture with Business Architecture and the results are the APQC Business Process Framework. – Far too often EA’s are asking for information from users who are

not accountable for the scope of the question.

– The CEO is the only role with the accountability and hardly the person to ask a question we should be able to derive within the practice.

– The following two slides take us through the way the Director system and AQPC Business Process Framework, with roles, and reference relationships to both management and transaction capabilities.

• Private Sector

– Expense Transaction Capability

– Revenue Transaction Capability

• Public Sector

– Cost Transaction

– Benefits Transaction

Director System Transaction Capability (2)



APQC Business Process Framework

1. Design Strategy and Vision

2. Develop Offers

3. Market and Sell Offers

4. Deliver Offers

5 Manage Offers

Executive

Corporate Finance

Human Resources

Business Managers

Offer Managers

Engineers

Corporate Marketing Field Marketing

WW Sales Field Sales

Legal

Operations

Supply Chain

Inventory

Project Delivery

Re-active Technical Support

Pro-active Technical Support

Corporate Quality

Revenue Transaction Capability

Expense Transaction Capability

Roles to Process with Capability

Key Legend

Process

Roles

Expense

Transaction

Capability

Revenue

Transaction

Capability

Business Function

APQC BPM

Expense or Cost

Revenue or Benefit

Capability for Private Sector with

roles to process

Cybernetics COLLABORATION AND COORDINATOR Copyright @ 2014 WICKED Design Solutions Lisa Martinez 408.638-9016

Two Types of Transactions

Expense or Cost Transactions

• Imagine a three lane highway in the South bound direction we have cost or expenses deductions from a planning stage.

– Spending money requires a supply or a purchase from a supplier, our employees buy/spend for goods or services to sell.

– The planning attributes should publish to the header detail in many forms for the full life of the transactions, threading the records for far fewer chances of error.

Revenue or Benefits Transactions

• When the South Bound travel

finishes the various stages a

cost has a associated with

spending money, we can

assume the revenue cycle

ideally begins.

– 14 data points can be shared and

published into all revenue record

headers to ensure integration and

accuracy in the benefit phase



Expense Transaction Capability

Notice

The three management

capabilities are the

source for the

investment and

expense or cost

transaction capability.

Every employee has an

associated cost, the

cost for payroll and all

processing of the same

is a child of the ETC.

Every people manager

needs the ETC, every

industry and every part

of the world.



Shipment

ERP

Invoice

Revenue Transaction Capability 14 values from customer expectation to delivery

Legal Entity

Public

GSA schedule pricing

Non-Taxable

Private

Taxable

New Leverage Points GAAP/GARP Revenue

Global Ultimate

id

Legal Entity Type

GIS

Zip Code

SIC code

customer discount

Party Customer

Master Record

Real World Variables

Sales Order

Quoting

CRM-OM

eCommerce

Please Note: Diagrams in this slide deck are not stylized or intended to represent a finished product. These diagrams are only presented to serve as a discussion point about

diagram organization approach and content. 2013 @ copyright Wicked Design Solutions - Lisa Martinez-408-471-9016

Governance by Design Copyright @ 2014 WICKED Design Solutions


• Governance by design 5 capabilities are defined to support the Sarbane’s Oxley requirements.

Segregation of Duties 404 Assurances

• The fundamental basis of the Sarbanes Oxley 404 Assurances are in ensuring the financial statements are accurately applying cost against benefits or expense against revenue.

• Therefore the design and application of the viable system model incorporates a five capability model in order to meet the effective design principle in applying the two Priority 1 transaction capabilities across the full lifecycle of each. – A distinction between CRUD roles ensures the transaction roles are applied

effectively and detect and prevent strategies are self governing for the distinction between Enterprise size customers who are both customers and suppliers.

– Allowing the flexibility required for the collaborator and coordinator work which relies entirely on social systems where the transactions are producing the record, measuring the performance of the planning and director phases at leverage points with various feedback loops.



The End for now